Personal Property Securities regime in force

The PPS regime commenced on 30 January 2012.  It applies now.  Businesses will almost certainly be affected by the PPS regime whenever they buy or sell goods on credit, or deal with security over assets.

‘Personal property’ is almost all assets other than land.  This includes tangible property such as motor vehicles, inventory, plant and equipment and also intangible property such as intellectual property, shares and licences.

The PPS regime will have consequences that people may not expect.  For example, retention of title arrangements, which are commonly included in standard terms and conditions of trade must now be registered to be fully effective.  Similar requirements apply to hire purchase arrangements.

We are able to advise you on registering and searching interests over personal property, as well as enforcement of security, if that should be required.  Like most new systems, it is very likely that there will be uncertainties and disputes in the early days of the PPS regime. 

Please contact Ben Wilson or Adam Rosser if you wish to discuss the new PPS regime.

Personal Property Securities regime to commence 30 January 2012

There is less than one month remaining before the new Personal Property Securities regime (‘PPS’) commences. The commencement date for PPS has been delayed on a number of occasions but is now scheduled for 30 January 2012.

PPS will be governed by the Personal Property Securities Act 2009 (Cth) and will be a fundamental change to the way security is taken over ‘personal’ property.

Personal property is defined under the Act. It includes most assets, rights and property other than real estate. Notwithstanding the name, 'personal' property can include property owned by companies as well as individuals.

The Act is relevant not only to banks and finance companies, but to a wide range of businesses, including businesses that provide goods and services on credit terms.

PPS will involve the introduction of a new online PPS register of security interests. Many security registers around Australia (including the ASIC Register of Charges) will be migrated into the new system. Registration on the PPS Register will be critical in determining the priority of security interests if enforcement is required.

Of great importance, many interests which have not traditionally been considered 'security' interests (for example, retention of title arrangements) may need to be registered. If you have terms of trade which includes security terms or retention of title terms, we can provide advice on the new regime and on how you can update to protect your interests.

If need be, we can assist you to enforce your security.

Please contact our Commercial Transactions team if you have any questions or require our assistance in relation to PPS.

We have a new home

On 9 January 2012 Cosoff Cudmore Knox will open in new, purpose-built offices at 73 Wakefield Street in the heart of Adelaide.

The new offices comprise three floors of meeting rooms, work areas and library. In addition to the outstanding on-site facilities, the new offices are much more convenient for parking and much closer to the Courts precinct. We expect the new offices will serve us well long into the future.

We look forward to welcoming visitors to our new offices!

We have a new look

From today, Cosoff Cudmore Knox has a new website (as you can see for yourself), and a new logo.

We believe the new website is more informative and more user-friendly than our old site.  In addition, it has been built to allow easier development and implementation of new features and new technologies over time.

Our new logo replaces a logo which has been with us since 2005.  It has served us well, but the firm has developed since then and it is time our logo did too.  

     

SA construction industry Security of Payments Act now in force

The Building and Construction Industry Security of Payment Act 2009, which commenced on 10 December 2011, brings the South Australian construction industry in line with the the other States.

The purpose of the Act is to ensure that people who carry out construction work or who provide related goods and services receive regular progress payments in relation to the work they are providing. It effectively introduces a ‘pay now argue later’ scheme which provides a process for prompt adjudication of claims.

The adjudication of claims under the Act does not determine ultimate liability, it simply resolves the immediate entitlement to payment.

The Act applies only to those construction contracts entered into after 10 December 2011. Whilst the Act generally applies to all construction work, and provision of related good and services, it does not apply to some types of construction work, including domestic building work where the party for whom the work is carried out will reside in the building.

To take advantage of the Act, those supplying goods or services in the construction industry will need to modify their payment claims or invoices. Those receiving claims will need to ensure they comply with the Act or face potentially damaging consequences.

We have extensive experience with security of payments claims and adjudications in other states. We can assist with any queries, and with making or responding to claims.  Please see our Construction and Engineering page for details.